Document and Entity Information
Document and Entity Information - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jan. 11, 2019 | |
Document And Entity Information | ||
Entity Registrant Name | GROOVE BOTANICALS INC. | |
Entity Central Index Key | 918,573 | |
Current Fiscal Year End Date | --03-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Trading Symbol | GRVE | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2,017 | |
Entity Current Reporting Status | No | |
Entity Common Stock, Shares Outstanding | 28,293,062 | |
Entity Public Float |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Current Assets: | ||
Cash and cash equivalents | $ 107,302 | $ 108,220 |
Total current assets | 107,302 | 108,220 |
Property and equipment, net | 12,459 | 13,592 |
Unproven oil & gas properties | 177,000 | 177,000 |
Producing oil & gas properties, net | 68,972 | 74,816 |
Total Assets | 365,733 | 373,628 |
Current Liabilities: | ||
Accounts payable and accrued liabilities | 210,290 | 194,691 |
Accrued payroll - related parties | 210,962 | 205,462 |
Dividends payable | 260,606 | 205,488 |
Accrued liabilities to joint interest | 11,140 | 9,965 |
Notes payable - related party | 20,000 | 20,000 |
Notes payable | 149,200 | 149,200 |
Total current liabilities | 862,198 | 784,806 |
Accrued asset retirement obligation (ARO) liability | 139,748 | 136,642 |
Total Liabilities | 1,001,946 | 921,448 |
Equity | ||
Preferred stock, Series A, $.10 par value, 100 shares authorized; 100 shares issued and outstanding stated at redemption value, as of June 30, 2016 and March 31, 2016, liquidation preference of $546,450 and $537,450 as of June 30, 2016 and March 31, 2016, respectively. | 10 | 10 |
Preferred stock, Series B, $.10 par value 2,000 shares authorized; 1,983 and 1,983 shares issued and outstanding stated at redemption value, as of June 30, 2016 and March 31, 2016 liquidation preference of $2,192,660 and $2,148,038 as of June 30, 2016 and March 31, 2016. | 198 | 198 |
Common Stock, $0.001 par value: 200,000,000 shares authorized, 18,198,062 and 18,198,062 shares issued and outstanding as of June 30, 2016 and March 31, 2016 | 18,198 | 18,198 |
Additional paid in capital | 32,993,499 | 32,993,499 |
Accumulated deficit | (33,699,087) | (33,610,746) |
Total Stockholders (Deficit) Equity | (687,182) | (598,481) |
Non-controlling interest | 50,969 | 51,021 |
Total (Deficit) Equity | (636,213) | (547,820) |
Total Liabilities and Stockholders' Equity | $ 365,733 | $ 373,628 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Liquidation preference | $ 537,450 | |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 18,198,062 | 18,198,062 |
Common stock, shares outstanding | 18,198,062 | 18,198,062 |
Preferred Stock Series A | ||
Preferred stock, shares authorized | 100 | |
Preferred stock, shares issued | 100 | |
Preferred stock, shares outstanding | 100 | |
Liquidation preference | $ 546,450 | $ 537,450 |
Preferred stock, Series A | ||
Preferred stock, par value | $ .10 | |
Preferred stock, shares authorized | 100 | |
Preferred stock, shares issued | 100 | |
Preferred stock, shares outstanding | 100 | |
Liquidation preference | $ 546,450 | |
Preferred stock, Series B | ||
Preferred stock, par value | $ .10 | $ .10 |
Preferred stock, shares authorized | 2,000 | 2,000 |
Preferred stock, shares issued | 1,983 | 1,983 |
Preferred stock, shares outstanding | 1,983 | 1,983 |
Liquidation preference | $ 2,192,660 | $ 2,148,038 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Income Statement [Abstract] | ||
Oil & Gas Sales | $ 17,898 | $ 8,531 |
Operating expenses: | ||
Lease operating expense, severance taxes and ARO accretion | 19,115 | 10,547 |
Selling, general and administrative expenses | 21,937 | 74,053 |
Stock based compensation | 20,333 | |
Depreciation, depletion, and amortization | 6,253 | 14,568 |
Total operating expenses | 47,305 | 119,501 |
Operating loss | (29,407) | (110,970) |
Other income (expense): | ||
Gain (Loss) on settlement of trade payables | (244,972) | |
Interest income (expense), net | (2,868) | 4,950 |
Total other income (expense) | (2,868) | 249,922 |
Income (Loss) before income tax | (32,275) | 138,952 |
Provision for income taxes | ||
Net income (loss) | (32,275) | 138,952 |
Less net loss attributable to noncontrolling interests | 52 | |
Net income (loss) attributable to the Company | (32,223) | 138,952 |
Preferred stock dividends | (56,118) | (48,250) |
Net income (loss) attributable to common shareholders | $ (88,341) | $ 90,702 |
Net income (loss) per share - basic | $ (0.005) | $ 0.005 |
Net income (loss) per share - diluted | $ (0.005) | $ 0.003 |
Weighted average shares outstanding - basic | 18,198,062 | 16,877,183 |
Weighted average shares outstanding - diluted | 18,198,062 | 28,542,558 |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (32,275) | $ 138,952 |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Stock issued for services | 12,000 | |
Non-cash consulting services | 8,333 | |
(Gain) on forgiveness of debt | (244,972) | |
(Gain) on forgiveness of interest payable | (11,375) | |
Depreciation | 1,133 | 1,133 |
Depletion | 5,120 | 2,789 |
Depreciation and ARO liability | 724 | 724 |
Amortization of intangible assets | 10,646 | |
Net change in operating assets and liabilities: | ||
Accounts receivable | 4,386 | |
Accounts payable and other accrued expenses | 21,274 | (19,831) |
Asset retirement obligation | 3,106 | 3,106 |
Net cash (used) in operating activities | (918) | (94,109) |
Cash flows from investing activities: | ||
Principle payments received on notes receivable | 714 | |
Net cash provided by investing activities | 714 | |
Cash flows from financing activities: | ||
Series B Preferred Stock issued for cash | 100,000 | |
Dividends paid | (13,500) | |
Net cash provided in financing activities | 86,500 | |
Net (decrease) in cash and cash equivalents | (918) | (6,895) |
Cash and cash equivalents at beginning of period | 108,220 | 135,713 |
Cash and cash equivalents at end of period | 107,302 | 128,818 |
Supplemental disclosures of cash flow information: | ||
Cash paid during the period for Interest | ||
Cash paid during the period for Taxes | ||
Common stock issued in exchange for consulting services | 12,000 | |
Common stock issued for payment of accounts payable | 26,000 | |
Note payable issued for payment of accounts payable | 5,000 | |
Preferred stock issued for extinguishment of note payable, accrued interest, and assumption of debt | $ 25,000 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1: DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Corporate Structure Groove Botanicals, Inc. (the "Company") (formally known as Avalon Oil & Gas, Inc.), was originally incorporated in Colorado in April 1991 under the name Snow Runner (USA), Inc. The Company was the general partner of Snow Runner (USA) Ltd.; a Colorado limited partnership to sell proprietary snow skates under the name "Sled Dogs" which was dissolved in August 1992. In late 1993, the Company relocated its operations to Minnesota and in January 1994 changed our name to Snow Runner, Inc. In November 1994 we changed our name to the Sled Dogs Company. On November 5, 1997, we filed for protection under Chapter 11 of the U.S. Bankruptcy Code. In September 1998, we emerged from protection of Chapter 11 of the U.S. Bankruptcy Code. In May, 1999, we changed our state of domicile to Nevada and our name to XDOGS.COM, Inc. On July 22, 2005, the Board of Directors and a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to change the Company's name to Avalon Oil & Gas, Inc., and to increase the authorized number of shares of our common stock from 200,000,000 shares to 1,000,000,000 shares par value of $0.001, and engage in the acquisition of producing oil and gas properties. On November 16, 2011, a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to increase the authorized number of shares of our common stock from 1,000,000,000 shares to 3,000,000,000 shares par value of $0.001. This amendment was not filed with the Nevada Secretary of State. On June 4, 2012 the Board of Directors approved an amendment to our Articles of Incorporation to a reverse split of the issued and outstanding shares of Common Stock of the Corporation (“Shares”) such that each holder of Shares as of the record date of June 4, 2012 shall receive one (1) post-split Share on the effective date of June 4, 2012 for each three hundred (300) Shares owned. The reverse split was effective on July 23, 2012. On September 28, 2012, we held a special meeting of Avalon’s shareholders and approved an amendment to the Company’s Articles of Incorporation such that the Company would be authorized to issue up to 200,000,000 shares of common stock. We filed an amendment with the Nevada Secretary of State on April 10, 2013, to increase our authorized shares to 200,000,000. On March 21, 2018 the Board of Directors and a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to change the Company's name to Groove Botanicals, Inc. We filed an amendment to our Articles of Incorporation with the State of Nevada on May 18, 2018. Principles of consolidation The condensed consolidated financial statements include the accounts of the Company and the Company’s subsidiary’s Oiltek, Inc., AFS Holdings, Inc., and Weyer Partners, LLC. All significant inter-company items have been eliminated in consolidation. Basis of Preparation of Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q. They do not include all of the information and footnotes required by Accounting Principles generally accepted accounting principles in United States America (“US GAAP”) for complete financial statements and related notes. The accompanying unaudited condensed consolidated financial statements and related notes should be read in conjunction with the audited consolidated financial statements of the Company and notes thereto for the year ended March 31, 2016. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (which include only normal recurring adjustments) necessary to present fairly the balance sheets of Groove Botanicals, Inc. and subsidiaries as of June 30, 2016 and the results of their operations and cash flows for the three months ended June 30, 2016 and 2015, and are not necessarily indicative of the results to be expected for the entire year. Going Concern The June 30, 2016, financial statements have been prepared assuming the Company will continue as a going concern. However, the Company has incurred a loss of $33,699,087, from inception through June 30, 2016, and has a working capital deficiency of $754,896 and stockholders’ deficit of $687,182, respectively, at June 30, 2016. The Company has minimal revenues from our remaining oil and gas assets. We are in need additional cash resources to maintain our operations. The Company has a working capital deficit of $754,896, has incurred losses since inception of $33,699,087, and have not yet received any revenue from the sale our CBD skincare products. These factors raise substantial doubt about its ability to continue as a going concern. The Company’s ability to continue as a going concern is dependent on its ability to raise additional capital or obtain necessary debt financing. The Company is presently dependent on its controlling shareholder to provide us funding for its daily operation and expenses, including professional fee and fees charged by regulators, although he is under no obligation to do so. The Company intends to meet the cash requirements for the next 12 months from the issuance date of this report through a combination of debt and equity financing by way of private placements, friends, family and business associates. The Company currently does not have any arrangements in place to complete any private placement financings and there is no assurance that the Company will be successful in completing any such financings on terms that will be acceptable to it. If we do not have sufficient working capital to pay our operating costs for the next 12 months, we will require additional funds to pay our legal, accounting and other fees associated with our Company and our filing obligations under United States federal securities laws, as well as to pay our other accounts payable generated in the ordinary course of our business. Once these costs are accounted for, we will focus on the manufacture and sale of our CBD skincare products. Any failure to raise money will have the effect of delaying the timeframes in the business plan as set forth above, and the Company may have to push back the dates of such activities. The financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred losses and further losses are anticipated as a result of the development of business which raises substantial doubt about the Company’s ability to continue as a going concern within the next twelve months from the issuance date of this report. The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining financing necessary to meet the Company’s obligations and repay its liabilities arising from normal business operations when they come due. Management intends to finance operating costs over the next twelve months with existing cash on hand and loans from directors and/or private placement of the Company’s common stock. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates and assumptions. Basis of Accounting The Company's financial statements are prepared using the accrual method of accounting. Revenues are recognized when earned and expenses when incurred. Cash and Cash Equivalents Cash and cash equivalents consist of cash on deposit. The Company maintains its cash balances at several financial institutions. Accounts at the institutions are insured by the Federal Deposit Insurance Corporation up to $250,000. Fair Value of Financial Instruments The Company's financial instruments are cash and cash equivalents, accounts receivable, accounts payable, notes payable, notes receivable and long-term debt. The recorded values of cash and cash equivalents, accounts receivable, and accounts payable approximate their fair values based on their short-term nature. The recorded values of notes payable, notes receivable and long-term debt approximate their fair values, as interest approximates market rates. Accounts Receivable and Receivables from the Joint Interest Management periodically assesses the collectability of the Company's accounts receivable and receivables from the Joint Interest. Accounts determined to be uncollectible are charged to operations when that determination is made. The Company determined that the accounts receivable from the Joint Interest accounts were uncollectable for the year ended March 31, 2016. Oil and Natural Gas Properties The Company follows the full cost method of accounting for natural gas and oil properties. Under the full cost concept, all costs incurred in acquiring, exploring, and developing properties cost center are capitalized when incurred and are amortized as mineral reserves in the cost center are produced, subject to a limitation that the capitalized costs not exceed the value of those reserves. The unamortized costs relating to a property that is surrendered, abandoned, or otherwise disposed of are accounted for as an adjustment of accumulated amortization, rather than as a gain or loss that enters into the determination of net income, until all Property and Equipment, net Property and equipment is reviewed for recoverability when events or changes in circumstances indicate that its carrying value may exceed future undiscounted cash inflows. As of June 30, 2016 and March 31, 2016, the Company had not identified any such impairment. Repairs and maintenance are charged to operations when incurred and improvements and renewals are capitalized. Property and equipment are stated at cost. Depreciation is calculated using the straight-line method for financial reporting purposes and accelerated methods for tax purposes. Their estimated useful lives are as follows: Office Equipment: 5-7 Years Vehicles 5 Years Asset Retirement Obligations In accordance with the provisions of Financial Accounting Standards Board “FASB” Accounting Standard Codification “ASC” 410-20-15, “Accounting for Asset Retirement Obligations”, the Company records the fair value of its liability for asset retirement obligations in the period in which it is incurred and a corresponding increase in the carrying amount of the related long live assets. Over time, the liability is accreted to its present value at the end of each reporting period, and the capitalized cost is depreciated over the useful life of the related assets. Upon settlement of the liability, the Company will either settle the obligation for its recorded amount or incur a gain or loss upon settlement. The Company's asset retirement obligations relate to the plugging and abandonment of its oil properties. Stock Based Compensation Share awards granted to employees and independent directors are accounted for under ASC 718, "Share-Based Payment". ASC 718-10 eliminates accounting for share-based compensation transaction using the intrinsic value method and requires instead that such transactions be accounted for using a fair-value-based method. The Company has elected to adopt the provisions of ASC 718-10 effective January 1, 2006, under the modified prospective transition method, in which compensation cost was recognized beginning with the effective date (a) based on the requirements of ASC 718-10 for all share-based payments granted after the effective date and (b) based on the requirements of ASC 718-10 for all awards granted to employees prior to the effective date of ASC 718-10 that remain unvested on the effective date. The Company records share-based compensation expense for awards granted to non-employees in exchange for services at fair value in accordance with the provisions of ASC 505-50, "Equity Based" payment to non-employees. For the awards granted to non-employees, the Company will record compensation expenses equal to the fair value of the share options at the measurement date, which is determined to be the earlier of the performance commitment date or the service completion date. Earnings (loss) per Common Share ASC 260-10-45, “Earnings Per Share”, requires presentation of "basic" and "diluted" earnings per share on the face of the statements of operations for all entities with complex capital structures. Basic earnings per share are computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted during the period. Dilutive securities having an anti-dilutive effect on diluted earnings per share are excluded from the calculation. Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets, including tax loss and credit carry forwards, and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred income tax expense represents the change during the period in the deferred tax assets and deferred tax liabilities. The components of the deferred tax assets and liabilities are individually classified as current and non-current based on their characteristics. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. ASC 740-10-25, “Accounting for Uncertainty in Income Taxes”, is intended to clarify the accounting for uncertainty in income taxes recognized in a company's financial statements and prescribes the recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC 740-10-25 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Under ASC 740-10-25, evaluation of a tax position is a two-step process. The first step is to determine whether it is more-likely-than-not that a tax position will be sustained upon examination, including the resolution of any related appeals or litigation based on the technical merits of that position. The second step is to measure a tax position that meets the more-likely-than-not threshold to determine the amount of benefit to be recognized in the financial statements. A tax position is measured at the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. Tax positions that previously failed to meet the more-likely-than-not recognition threshold should be recognized in the first subsequent period in which the threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not criteria should be de-recognized in the first subsequent financial reporting period in which the threshold is no longer met. Revenue Recognition In accordance with the requirements ASC topic 605 "Revenue Recognition", revenues are recognized at such time as (1) persuasive evidence of an arrangement exists, (2) delivery has occurred or services have been rendered, (3) the seller's price to the buyer is fixed or determinable and (4) collectability is reasonably assured. Specifically, oil and gas sales are recognized as income at such time as the oil and gas are delivered to a viable third party purchaser at an agreed price. Interest income is recognized as it is earned. Recently Issued Accounting Policies In August 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 provides guidance about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and sets rules for how this information should be disclosed in the financial statements. ASU 2014-15 is effective for annual periods ending after December 15, 2016 and interim periods thereafter. The Company adopted ASU 2014-15 prospectively for the annual period ending December 31, 2016. Pursuant to ASU 2014-15, the Company is required to consider whether there are adverse conditions or events that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued and the probability that management’s plans will mitigate the adverse conditions or events (if any). Adverse conditions or events would include, but not be limited to, negative financial trends (such as recurring operating losses, working capital deficiencies, or insufficient liquidity), a need to restructure outstanding debt to avoid default, and industry developments (for example commodity price declines and regulatory changes). In May 2014, the FASB issued ASU 2014-9, "Revenue from Contracts with Customers (Topic 606)," which supersedes the revenue recognition requirements in ASC Topic 605, "Revenue Recognition," and most industry-specific guidance. ASU 2014-9 is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-9 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. ASU 2014-9 applies to all contracts with customers except those that are within the scope of other topics in the FASB ASC. The new guidance is effective for interim and annual reporting periods beginning after December 15, 2017 for public companies. Early adoption is not permitted. Entities have the option of using either a full retrospective or modified retrospective approach to adopt ASU 2014-9. Additionally, in March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus agent considerations (reporting revenue gross versus net), which clarifies the implementation guidance on principal versus agent considerations on such matters. In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying performance obligations and licensing, which clarifies guidance related to identifying performance obligations and licensing implementation guidance contained in the new revenue recognition standard. In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-scope improvements and practical expedients, which addresses narrow-scope improvements to the guidance on collectability, non-cash consideration, and completed contracts at transition. Additionally, the amendments in this update provide a practical expedient for contract modifications at transition and an accounting policy election related to the presentation of sales taxes and other similar taxes collected from customers. In December 2016, the FASB issued ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers, which clarifies the guidance or corrects unintended application of guidance. The Company completed its assessment of the new accounting standard and does not expect the adoption of this standard to have a material impact to our revenue recognition based on our existing contracts with customers. We adopted the new standard during the first quarter of 2018 using the modified retrospective approach and there will be no material impact to our previously recorded revenue under the new standard. |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 3 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | NOTE 2: PROPERTY AND EQUIPMENT, NET A summary of property and equipment at June 30, 2016 and March 31, 2016 is as follows: June 30, 2016 March 31, 2016 Office Equipment $ 41,778 $ 41,778 Vehicles 22,657 22,657 64,435 64,435 Less: Accumulated depreciation (51,976 ) (50,843 ) Total $ 12,459 $ 13,592 Depreciation expense for the three month periods ended June 30, 2016 and 2015 was $1,133 and $1,133, respectively. |
OIL AND GAS PROPERTY ACTIVITY
OIL AND GAS PROPERTY ACTIVITY | 3 Months Ended |
Jun. 30, 2016 | |
Extractive Industries [Abstract] | |
OIL AND GAS PROPERTY ACTIVITY | NOTE 6: OIL AND GAS PROPERTY ACTIVITY Producing oil and gas properties consist of the following at June 30, 2016 and March 31, 2016: June 30, 2016 (Unaudited) March 31, 2016 Lincoln County, Oklahoma $ 111,402 $ 111,402 Lipscomb County, Texas 250,082 250,082 Miller County, Arkansas 139,909 139,909 Ward Petroleum Assets 290,500 290,500 Kensington Energy Assets 120,000 120,000 Other Properties 325,185 325,185 Total Properties 1,237,078 1,237,078 Asset retirement cost, net 34,056 34,870 Property impairments (609,534 ) (609,534 ) Less: Depletion (592,628 ) (587,508 ) Net $ 68,972 $ 74,816 For the three month period ended June 30, 2016 and 2015, depletion per Bbl was $8.81 and $6.85. |
ACCOUNTS PAYABLE AND ACCRUED LI
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 3 Months Ended |
Jun. 30, 2016 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | NOTE 3: ACCOUNTS PAYABLE AND ACCRUED LIABILITIES Accounts payable and accrued liabilities consisted of the following: June 30, 2016 March 31, 2016 (Unaudited) Accounts payable $ 143,412 $ 130,747 Accrued interest 66,878 63,944 Total $ 210,290 $ 194,691 |
NOTES PAYABLE
NOTES PAYABLE | 3 Months Ended |
Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |
NOTES PAYABLE | NOTE 4: NOTES PAYABLE Notes Payable are summarized as follows: Note Amount March 31, 2016: Notes payable – long-term portion $ — Notes payable – current portion 149,200 Total $ 149,200 Note Amount June 30, 2016 (Unaudited): Notes payable – long-term portion $ — Notes payable – current portion 149,200 Total $ 149,200 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 3 Months Ended |
Jun. 30, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 5: RELATED PARTY TRANSACTIONS Notes Payable On April 21, 2011, Mr. Rodriguez advanced the Company $35,000. As of June 30, 2016 and March 31, 2016, amount outstanding is $20,000. This note does not accrue interest and is due on demand. Preferred Stock The 100 shares of Series A Preferred Stock were issued on June 3, 2002 as payment for $500,000 in promissory notes, are convertible into the number of shares of common stock sufficient to represent forty percent (40%) of the fully diluted shares outstanding after their issuance The holder of these shares of Series A Preferred Stock is our President, Kent Rodriguez. The Series A Preferred Stock pays an eight percent (8%) dividend. The dividends are cumulative and payable quarterly. The Series A Preferred Stock carries liquidating preference, over all other classes of stock, equal to the amount paid for the stock plus any unpaid dividends. The Series A Preferred Stock provides for voting rights on an "as converted to common stock" basis. During the years ended March 31, 2016 and 2015, the Company incurred $40,000 in Series A preferred stock dividends, respectively. During the three months ended June30, 2015 and 2016, the Company incurred $10,000 in Series A Preferred Stock dividends. The holders of the Series A Preferred Stock have the right to convert each share of preferred stock into a sufficient number of shares of common stock to equal 40% of the then fully-diluted shares outstanding. Fully diluted shares outstanding is computed as the sum of the number of shares of common stock outstanding plus the number of shares of common stock issuable upon exercise, conversion or exchange of outstanding options, and warrants. In the event that the Company does not have an adequate number of shares of Common Stock authorized, upon a conversion request, only the maximum allowable number of shares of Series A preferred stock shall convert into Common Stock and the remaining shares of Series A preferred Stock shall convert upon lapse of the applicable restrictions. On January 12, 2018, our Board of Directors agreed to amend Designation of the Series A Convertible Preferred Stock be amended by changing the ratio for conversion, in Article IV, subparagraph (a), from .4% to .51% so that upon conversion the number of shares of common stock to be exchanged shall equal 51% of then issued and outstanding common stock. During the three months ended June 30, 2016 and 2015, the Company incurred $10,000 in Series A preferred stock dividends, and paid $1,000 and $13,500 for the three months ended June 30, 2016 and 2015. As of June 30, 2016 and March 31, 2016, the accrued balance due Mr. Rodriguez was $46,450 and $37,450 respectively. The liquidation preference as of June 30, 2016 and March 31, 2016 was $546,450 and $537,450 or $5,464.50 and $5,374.50 per share. Employment Agreements In 2009, Mr. Rodriguez, our President, was under an employment agreement dated April 1, 2008 that expires on March 31, 2016, pursuant to which he was compensated at an annual rate of $120,000. On April 1, 2011 Mr. Rodriguez voluntarily reduced his compensation to an annual rate of $48,000, subject to an increase by the Company’s Board of Directors. The Company charged to operations the amount of $12,000 for the three month periods ended June 30, 2016 and 2015, of which $6,500 and $21,882 was paid to him during the three month periods ending June 30, 2016 and 2015, respectively. As of June 30, 2016, and March 31, 2016, the balances of accrued and unpaid salaries were $210,962 and $205,462. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 6: INCOME TAXES Deferred income taxes result from the temporary difference arising from the use of accelerated depreciation methods for income tax purposes and the straight-line method for financial statement purposes, and an accumulation of Net Operating Loss carry-forwards for income tax purposes with a valuation allowance against the carry-forwards for book purposes. In assessing the value of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. Included in deferred tax assets are Federal and State net operating loss carry forwards of $33,699,087, which will expire beginning in 2028. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based upon our cumulative losses through June 30, 2016, we have provided a valuation allowance reducing the net realizable benefits of these deductible differences to $0 at June 30, 2016. The amount of the deferred tax asset considered realizable could change in the near term if projected future taxable income is realized. Due to significant changes in the Company's ownership, the Company's future use of its existing net operating losses may be limited. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 3 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
STOCKHOLDERS' EQUITY | NOTE 7: STOCKHOLDERS' EQUITY Preferred Stock The Company is authorized to issue 1,000,000 shares of preferred stock, par value $0.10 per share. Series A Preferred Stock The 100 shares of Series A Preferred Stock were issued on June 3, 2002 as payment for $500,000 in promissory notes, are convertible into the number of shares of common stock sufficient to represent forty percent (40%) of the fully diluted shares outstanding after their issuance The holder of these shares of Series A Preferred Stock is our President, Kent Rodriguez. The Series A Preferred Stock pays an eight percent (8%) dividend. The dividends are cumulative and payable quarterly. The Series A Preferred Stock carries liquidating preference, over all other classes of stock, equal to the amount paid for the stock plus any unpaid dividends. The Series A Preferred Stock provides for voting rights on an "as converted to common stock" basis. During the years ended March 31, 2016 and 2015, the Company incurred $40,000 in Class A preferred stock dividends, respectively. The holders of the Series A Preferred Stock have the right to convert each share of preferred stock into a sufficient number of shares of common stock to equal 40% of the then fully-diluted shares outstanding. Fully diluted shares outstanding is computed as the sum of the number of shares of common stock outstanding plus the number of shares of common stock issuable upon exercise, conversion or exchange of outstanding options, and warrants. In the event that the Company does not have an adequate number of shares of Common Stock authorized, upon a conversion request, only the maximum allowable number of shares of Series A preferred stock shall convert into Common Stock and the remaining shares of Series A preferred Stock shall convert upon lapse of the applicable restrictions. On January 12, 2018, our Board of Directors agreed to amend Designation of the Series A Convertible Preferred Stock be amended by changing the ratio for conversion, in Article IV, subparagraph (a), from .4% to .51% so that upon conversion the number of shares of common stock to be exchanged shall equal 51% of then issued and outstanding common stock. As of June 30, 2016, the Company has 100 shares of Series A preferred stock issued and outstanding. During the three months ended June 30, 2016 and 2015, the Company incurred $10,000 in Series A preferred stock dividends, and paid $1,000 and $13,500 for the three months ended June 30, 2016 and 2015. As of June 30, 2016 and March 31, 2016, the accrued balance due Mr. Rodriguez was $46,450 and $37,450 respectively. The liquidation preference as of June 30, 2016 and March 31, 2016 was $546,450 and $537,450 or $5,464.50 and $5,374.50 per share. Series B Preferred Stock In March, 2013, our Board of Directors authorized the issuance of 2,000 shares of Series B Preferred Stock, (the "Series B Preferred Stock"). The face amount of share of the Series B Preferred Stock is $1,000. As of June 30, 2016 and March 31, 2016, the Company has 1,983 shares of Series B preferred stock respectively issued and outstanding. The Series B Preferred Stock accrues dividends at the rate of 9% per annum on the original purchase price for the shares. These dividends are payable annually, beginning in January 2014. We are prohibited from paying any dividends on our Common Stock until all accrued dividends are paid on our Series B Preferred Stock. The Series B Preferred Stock ranks junior to the Series A Preferred Stock owned by our President and Chief Executive Officer, as to Dividends and to a distribution of assets in the event of a liquidation of assets. The Holders of Series B Preferred Stock do not have any voting rights and their consent is not required to take any sort of corporate action. During the three month period ended June 30, 2016, the Company did not issue any shares of Series B Preferred Stock. During the three month period ended June 30, 2015, the Company issued 125 shares of Series B Preferred Stock, 25 shares in exchange for a $25,000 promissory note and 100 shares for an investment of $100,000. During the three month periods ended June 30, 2016 and 2015, the Company incurred $44,618 and $38,250 in dividends on Series B preferred stock. The Company did not pay any dividends for the three month periods ended June 30, 2016 and ended June 30, 2015. The accrued dividends as of June 30, 2016 and March 31, 2016 were 209,660 and 165,038, respectively. The liquidation preference as of June 30, 2016 and March 31, 2016 was $2,192,660 and $2,148,038 or $1,105.73or $1,083.23 per share, respectively. Total dividends payable from both A and B preferred shares at June 30, 2016 and March 31, 2016 were $256,106 and $205,488 respectively. AFS Holdings, Inc. Series A Preferred Stock On October 5, 2015, the Articles of Incorporation of AFS were amended to authorize the issuance of 5,000,000 shares of Preferred Stock, par value $0.001, of which 1,000 shares are designated as Series A Preferred Stock. AFS Series A Preferred Stock accrues dividends at the rate of 12% per annum on the original purchase price for the shares. These dividends are payable annually in cash or the AFS Common Stock at the discretion of the Board of Directors, beginning in March 2016. AFS is prohibited from paying any dividends on AFS Common Stock until all accrued dividends are paid on our Series A preferred Stock. Upon liquidation, the Series A Preferred Stock shareholders shall be entitled to the stated value of each shares held, in addition to accrued and unpaid dividends, as long as AFS possesses the funds necessary to make payments. AFS may, at any time, redeem the shares of Series A Preferred Stock without the prior written consent of the Series A Preferred Stock shareholders. The Series A Preferred Stock ranks senior to AFS Common Stock in a distribution of assets in the event of a liquidation of assets. As of June 30, 2016 and March 31, 2016, the Company has 50 shares of Series A preferred stock issued and outstanding. During the ended June 30, 2016 we did not issue any AFS Series A Preferred Stock. During the three month periods ended June 30, 2016 and 2015, the Company incurred – 0- and $1,500 in dividends on Series A preferred stock. The Company did not pay any dividends for the three months periods ended June 30, 2015 and June 30, 2016. Dividends payable for Series A Preferred Stock at June 30, 2016 and March 31, 2016 were $4,500 and $3,000 respectively. The liquidation preference of Series A Preferred Stock as of June 30, 2016 and March 31, 2016 was $54,500 and $53,000 or $1,090.00 and $1,060 per share, respectively. Common Stock During the three month period ended June 30, 2016, the Company did not issue and shares. During the three month period ended June 30, 2015 the Company issued the following shares: On April 2, 2015 we issued 300,000 shares of our Common Stock to our directors for their services. The shares were valued at $12,000 or $0.04 per share and were valued based on the midpoint between the closing bid and offer price of the Company's common stock on the date the shares were issued. On June 25, 2015, the company issued 650,000 shares of Common Stock, paid $5,000 in cash and issued a $5,000 promissory note for settlement of an account payable of $280,972.06. The shares were valued at $26,000 or $0.04 per share. The value of the shares was based on the closing bid price of the Company's common stock on the date the Agreement was executed by the Company. $244,972 was treated as a gain from this transaction. |
TECHNOLOGY LICENSE AGREEMENTS
TECHNOLOGY LICENSE AGREEMENTS | 3 Months Ended |
Jun. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
TECHNOLOGY LICENSE AGREEMENTS | NOTE 9: TECHNOLOGY LICENSE AGREEMENTS On December 1, 2014, the Company entered into an exclusive license agreement for anti-corrosion technology from Ronald Knight in exchange for three hundred thousand (300,000) shares of our common stock. This license calls for an earned royalty of three percent (3.00%) on sales of licensed products and services as they may relate to corrosion prevention and maintenance of sump pumps at gasoline and diesel dispensing locations, including, but not limited to gas stations, convenience stores, trucking companies, bus companies, and any other locations where gasoline and/or diesel is dispensed. We did not have any revenue for the period from December 1, 2014 through June 30, 2016. The Company terminated this agreement on May 9, 2017. |
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE | 3 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
LOSS PER SHARE | NOTE 10: EARNINGS (LOSS) PER SHARE ASC 260-10-45 requires a reconciliation of the numerator and denominator of the basic and diluted earnings per share (EPS) computations. We have included the basic and diluted earnings per share (EPS) computation for the three month period ended June 30, 2016. Basic and diluted earnings per share for each of the periods presented is calculated as follows: For the three months ended June 30, 2016 (Unaudited) For the three months ended June 30, 2015 (Unaudited) Net income (loss) attributable to Avalon Oil & Gas, Inc. $ (32,223 ) $ 138,952 Preferred stock dividends (56,118 ) (48,250 ) Net income (loss) attributable to common shareholders of Avalon Oil & Gas, Inc. (numerator for basic earnings per share) (88,341 ) 90,702 Dividend for Series A convertible preferred stock 10,000 10,000 Net income (loss) attributable to common shareholders of Avalon Oil & Gas, Inc. (numerator for diluted earnings per share) (88,341 ) 100,702 Weighted average number of common shares outstanding - Basic 18,198,062 16,877,183 Effect of diluted securities: Convertible amount of Common Shares — 11,665,375 Weighted average number of common shares outstanding - Diluted — 28,542,558 Earnings (loss) per share- Basic $ (0.005 ) $ 0.005 Earnings (loss) per share- Diluted $ (0.005 ) $ 0.003 For the three months end June 30, 2016, convertible notes payable with the principal amount of $149,200 were not included in the calculation of the diluted earnings per share because the effect is anti-dilutive. For the three months end June 30, 2015, convertible notes payable with the principal amount of $164,300 were not included in the calculation of the diluted earnings per share because the effect is anti-dilutive. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 11: COMMITMENTS AND CONTINGENCIES Commitments and contingencies through the date of these financial statements were issued have been considered by the Company and none were noted which were required to be disclosed. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Jun. 30, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 12: SUBSEQUENT EVENTS The company has reviewed the subsequent event through the date of this report. Below are our subsequent events: On January 29, 2018 the Company executed a Promissory Note between the Company and Carebourn Capital, LLC in the amount of $230,000. On March 21, 2018 the Board of Directors and a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to change the Company's name to Groove Botanicals, Inc. We filed an amendment to our Articles of Incorporation with the State of Nevada on May 18, 2018. Our Company’s new name reflects our new corporate direction as a consumer health products company dedicated to improving people’s health and well-being. We will assemble a portfolio of assets via royalty agreements, equity investments, and licensing agreements, as well as develop our own proprietary CB3 skin care products. Our products will contain premium hemp extracts with a broad range of cannabinoids, including cannabidiol (CBD). CBD is a cannabinoid compound naturally derived from the hemp plant. It is not a drug and has no intoxicating effects, but has a long history of natural uses. Recent breakthroughs in research have shown the powerful health benefits of CBD on the body. CBD is also rich in vitamins A, B, D, and E, antioxidants, and fatty acids, all of which dramatically improve skin health. When applied topically to the skin, CBD has been shown to reduce inflammation, retain skin moisture levels, reduce cellular damage, inhibit oil production leading to breakouts, and protect skin from free radicals that damage collagen and elastin. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Corporate Structures | Corporate Structure Groove Botanicals, Inc. (the "Company") (formally known as Avalon Oil & Gas, Inc.), was originally incorporated in Colorado in April 1991 under the name Snow Runner (USA), Inc. The Company was the general partner of Snow Runner (USA) Ltd.; a Colorado limited partnership to sell proprietary snow skates under the name "Sled Dogs" which was dissolved in August 1992. In late 1993, the Company relocated its operations to Minnesota and in January 1994 changed our name to Snow Runner, Inc. In November 1994 we changed our name to the Sled Dogs Company. On November 5, 1997, we filed for protection under Chapter 11 of the U.S. Bankruptcy Code. In September 1998, we emerged from protection of Chapter 11 of the U.S. Bankruptcy Code. In May, 1999, we changed our state of domicile to Nevada and our name to XDOGS.COM, Inc. On July 22, 2005, the Board of Directors and a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to change the Company's name to Avalon Oil & Gas, Inc., and to increase the authorized number of shares of our common stock from 200,000,000 shares to 1,000,000,000 shares par value of $0.001, and engage in the acquisition of producing oil and gas properties. On November 16, 2011, a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to increase the authorized number of shares of our common stock from 1,000,000,000 shares to 3,000,000,000 shares par value of $0.001. This amendment was not filed with the Nevada Secretary of State. On June 4, 2012 the Board of Directors approved an amendment to our Articles of Incorporation to a reverse split of the issued and outstanding shares of Common Stock of the Corporation (“Shares”) such that each holder of Shares as of the record date of June 4, 2012 shall receive one (1) post-split Share on the effective date of June 4, 2012 for each three hundred (300) Shares owned. The reverse split was effective on July 23, 2012. On September 28, 2012, we held a special meeting of Avalon’s shareholders and approved an amendment to the Company’s Articles of Incorporation such that the Company would be authorized to issue up to 200,000,000 shares of common stock. We filed an amendment with the Nevada Secretary of State on April 10, 2013, to increase our authorized shares to 200,000,000. On March 21, 2018 the Board of Directors and a majority of the Company's shareholders approved an amendment to our Articles of Incorporation to change the Company's name to Groove Botanicals, Inc. We filed an amendment to our Articles of Incorporation with the State of Nevada on May 18, 2018. |
Principles of consolidation | Principles of consolidation The condensed consolidated financial statements include the accounts of the Company and the Company’s subsidiary’s Oiltek, Inc., AFS Holdings, Inc., and Weyer Partners, LLC. All significant inter-company items have been eliminated in consolidation. |
Basis of Preparation of Financial Statements | Basis of Preparation of Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q. They do not include all of the information and footnotes required by Accounting Principles generally accepted accounting principles in United States America (“US GAAP”) for complete financial statements and related notes. The accompanying unaudited condensed consolidated financial statements and related notes should be read in conjunction with the audited consolidated financial statements of the Company and notes thereto for the year ended March 31, 2016. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (which include only normal recurring adjustments) necessary to present fairly the balance sheets of Groove Botanicals, Inc. and subsidiaries as of June 30, 2016 and the results of their operations and cash flows for the three months ended June 30, 2016 and 2015, and are not necessarily indicative of the results to be expected for the entire year. |
Going Concern | Going Concern The June 30, 2016, financial statements have been prepared assuming the Company will continue as a going concern. However, the Company has incurred a loss of $33,699,087, from inception through June 30, 2016, and has a working capital deficiency of $754,896 and stockholders’ deficit of $687,182, respectively, at June 30, 2016. The Company has minimal revenues from our remaining oil and gas assets. We are in need additional cash resources to maintain our operations. The Company has a working capital deficit of $754,896, has incurred losses since inception of $33,699,087, and have not yet received any revenue from the sale our CBD skincare products. These factors raise substantial doubt about its ability to continue as a going concern. The Company’s ability to continue as a going concern is dependent on its ability to raise additional capital or obtain necessary debt financing. The Company is presently dependent on its controlling shareholder to provide us funding for its daily operation and expenses, including professional fee and fees charged by regulators, although he is under no obligation to do so. The Company intends to meet the cash requirements for the next 12 months from the issuance date of this report through a combination of debt and equity financing by way of private placements, friends, family and business associates. The Company currently does not have any arrangements in place to complete any private placement financings and there is no assurance that the Company will be successful in completing any such financings on terms that will be acceptable to it. If we do not have sufficient working capital to pay our operating costs for the next 12 months, we will require additional funds to pay our legal, accounting and other fees associated with our Company and our filing obligations under United States federal securities laws, as well as to pay our other accounts payable generated in the ordinary course of our business. Once these costs are accounted for, we will focus on the manufacture and sale of our CBD skincare products. Any failure to raise money will have the effect of delaying the timeframes in the business plan as set forth above, and the Company may have to push back the dates of such activities. The financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred losses and further losses are anticipated as a result of the development of business which raises substantial doubt about the Company’s ability to continue as a going concern within the next twelve months from the issuance date of this report. The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or obtaining financing necessary to meet the Company’s obligations and repay its liabilities arising from normal business operations when they come due. Management intends to finance operating costs over the next twelve months with existing cash on hand and loans from directors and/or private placement of the Company’s common stock. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles generally accepted in the United States of America requires us to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from those estimates and assumptions. |
Basis of Accounting | Basis of Accounting The Company's financial statements are prepared using the accrual method of accounting. Revenues are recognized when earned and expenses when incurred. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of cash on deposit. The Company maintains its cash balances at several financial institutions. Accounts at the institutions are insured by the Federal Deposit Insurance Corporation up to $250,000. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company's financial instruments are cash and cash equivalents, accounts receivable, accounts payable, notes payable, notes receivable and long-term debt. The recorded values of cash and cash equivalents, accounts receivable, and accounts payable approximate their fair values based on their short-term nature. The recorded values of notes payable, notes receivable and long-term debt approximate their fair values, as interest approximates market rates. |
Accounts Receivable and Receivables from the Joint Interest | Accounts Receivable and Receivables from the Joint Interest Management periodically assesses the collectability of the Company's accounts receivable and receivables from the Joint Interest. Accounts determined to be uncollectible are charged to operations when that determination is made. The Company determined that the accounts receivable from the Joint Interest accounts were uncollectable for the year ended March 31, 2016. |
Oil and Natural Gas Properties | Oil and Natural Gas Properties The Company follows the full cost method of accounting for natural gas and oil properties. Under the full cost concept, all costs incurred in acquiring, exploring, and developing properties cost center are capitalized when incurred and are amortized as mineral reserves in the cost center are produced, subject to a limitation that the capitalized costs not exceed the value of those reserves. The unamortized costs relating to a property that is surrendered, abandoned, or otherwise disposed of are accounted for as an adjustment of accumulated amortization, rather than as a gain or loss that enters into the determination of net income, until all |
Property and Equipment, net | Property and Equipment, net Property and equipment is reviewed for recoverability when events or changes in circumstances indicate that its carrying value may exceed future undiscounted cash inflows. As of June 30, 2016 and March 31, 2016, the Company had not identified any such impairment. Repairs and maintenance are charged to operations when incurred and improvements and renewals are capitalized. Property and equipment are stated at cost. Depreciation is calculated using the straight-line method for financial reporting purposes and accelerated methods for tax purposes. Their estimated useful lives are as follows: Office Equipment: 5-7 Years Vehicles 5 Years |
Asset Retirement Obligations | Asset Retirement Obligations In accordance with the provisions of Financial Accounting Standards Board “FASB” Accounting Standard Codification “ASC” 410-20-15, “Accounting for Asset Retirement Obligations”, the Company records the fair value of its liability for asset retirement obligations in the period in which it is incurred and a corresponding increase in the carrying amount of the related long live assets. Over time, the liability is accreted to its present value at the end of each reporting period, and the capitalized cost is depreciated over the useful life of the related assets. Upon settlement of the liability, the Company will either settle the obligation for its recorded amount or incur a gain or loss upon settlement. The Company's asset retirement obligations relate to the plugging and abandonment of its oil properties. |
Stock Based Compensation | Stock Based Compensation Share awards granted to employees and independent directors are accounted for under ASC 718, "Share-Based Payment". ASC 718-10 eliminates accounting for share-based compensation transaction using the intrinsic value method and requires instead that such transactions be accounted for using a fair-value-based method. The Company has elected to adopt the provisions of ASC 718-10 effective January 1, 2006, under the modified prospective transition method, in which compensation cost was recognized beginning with the effective date (a) based on the requirements of ASC 718-10 for all share-based payments granted after the effective date and (b) based on the requirements of ASC 718-10 for all awards granted to employees prior to the effective date of ASC 718-10 that remain unvested on the effective date. The Company records share-based compensation expense for awards granted to non-employees in exchange for services at fair value in accordance with the provisions of ASC 505-50, "Equity Based" payment to non-employees. For the awards granted to non-employees, the Company will record compensation expenses equal to the fair value of the share options at the measurement date, which is determined to be the earlier of the performance commitment date or the service completion date. |
Earnings (loss) per Common Share | Earnings (loss) per Common Share ASC 260-10-45, “Earnings Per Share”, requires presentation of "basic" and "diluted" earnings per share on the face of the statements of operations for all entities with complex capital structures. Basic earnings per share are computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted during the period. Dilutive securities having an anti-dilutive effect on diluted earnings per share are excluded from the calculation. |
Income Taxes | Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets, including tax loss and credit carry forwards, and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred income tax expense represents the change during the period in the deferred tax assets and deferred tax liabilities. The components of the deferred tax assets and liabilities are individually classified as current and non-current based on their characteristics. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. ASC 740-10-25, “Accounting for Uncertainty in Income Taxes”, is intended to clarify the accounting for uncertainty in income taxes recognized in a company's financial statements and prescribes the recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC 740-10-25 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Under ASC 740-10-25, evaluation of a tax position is a two-step process. The first step is to determine whether it is more-likely-than-not that a tax position will be sustained upon examination, including the resolution of any related appeals or litigation based on the technical merits of that position. The second step is to measure a tax position that meets the more-likely-than-not threshold to determine the amount of benefit to be recognized in the financial statements. A tax position is measured at the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. Tax positions that previously failed to meet the more-likely-than-not recognition threshold should be recognized in the first subsequent period in which the threshold is met. Previously recognized tax positions that no longer meet the more-likely-than-not criteria should be de-recognized in the first subsequent financial reporting period in which the threshold is no longer met. |
Revenue Recognition | Revenue Recognition In accordance with the requirements ASC topic 605 "Revenue Recognition", revenues are recognized at such time as (1) persuasive evidence of an arrangement exists, (2) delivery has occurred or services have been rendered, (3) the seller's price to the buyer is fixed or determinable and (4) collectability is reasonably assured. Specifically, oil and gas sales are recognized as income at such time as the oil and gas are delivered to a viable third party purchaser at an agreed price. Interest income is recognized as it is earned. |
Recent Accounting Standards | Recently Issued Accounting Policies In August 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 provides guidance about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and sets rules for how this information should be disclosed in the financial statements. ASU 2014-15 is effective for annual periods ending after December 15, 2016 and interim periods thereafter. The Company adopted ASU 2014-15 prospectively for the annual period ending December 31, 2016. Pursuant to ASU 2014-15, the Company is required to consider whether there are adverse conditions or events that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued and the probability that management’s plans will mitigate the adverse conditions or events (if any). Adverse conditions or events would include, but not be limited to, negative financial trends (such as recurring operating losses, working capital deficiencies, or insufficient liquidity), a need to restructure outstanding debt to avoid default, and industry developments (for example commodity price declines and regulatory changes). In May 2014, the FASB issued ASU 2014-9, "Revenue from Contracts with Customers (Topic 606)," which supersedes the revenue recognition requirements in ASC Topic 605, "Revenue Recognition," and most industry-specific guidance. ASU 2014-9 is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-9 also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. ASU 2014-9 applies to all contracts with customers except those that are within the scope of other topics in the FASB ASC. The new guidance is effective for interim and annual reporting periods beginning after December 15, 2017 for public companies. Early adoption is not permitted. Entities have the option of using either a full retrospective or modified retrospective approach to adopt ASU 2014-9. Additionally, in March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus agent considerations (reporting revenue gross versus net), which clarifies the implementation guidance on principal versus agent considerations on such matters. In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying performance obligations and licensing, which clarifies guidance related to identifying performance obligations and licensing implementation guidance contained in the new revenue recognition standard. In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-scope improvements and practical expedients, which addresses narrow-scope improvements to the guidance on collectability, non-cash consideration, and completed contracts at transition. Additionally, the amendments in this update provide a practical expedient for contract modifications at transition and an accounting policy election related to the presentation of sales taxes and other similar taxes collected from customers. In December 2016, the FASB issued ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers, which clarifies the guidance or corrects unintended application of guidance. The Company completed its assessment of the new accounting standard and does not expect the adoption of this standard to have a material impact to our revenue recognition based on our existing contracts with customers. We adopted the new standard during the first quarter of 2018 using the modified retrospective approach and there will be no material impact to our previously recorded revenue under the new standard. |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | June 30, 2016 March 31, 2016 Office Equipment $ 41,778 $ 41,778 Vehicles 22,657 22,657 64,435 64,435 Less: Accumulated depreciation (51,976 ) (50,843 ) Total $ 12,459 $ 13,592 |
OIL AND GAS PROPERTY ACTIVITY (
OIL AND GAS PROPERTY ACTIVITY (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Extractive Industries [Abstract] | |
Producing oil and gas properties | June 30, 2016 (Unaudited) March 31, 2016 Lincoln County, Oklahoma $ 111,402 $ 111,402 Lipscomb County, Texas 250,082 250,082 Miller County, Arkansas 139,909 139,909 Ward Petroleum Assets 290,500 290,500 Kensington Energy Assets 120,000 120,000 Other Properties 325,185 325,185 Total Properties 1,237,078 1,237,078 Asset retirement cost, net 34,056 34,870 Property impairments (609,534 ) (609,534 ) Less: Depletion (592,628 ) (587,508 ) Net $ 68,972 $ 74,816 |
ACCOUNTS PAYABLE AND ACCRUED _2
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Payables and Accruals [Abstract] | |
Accounts payable and accrued liabilities | June 30, 2016 March 31, 2016 (Unaudited) Accounts payable $ 143,412 $ 130,747 Accrued interest 66,878 63,944 Total $ 210,290 $ 194,691 |
NOTES PAYABLE (Tables)
NOTES PAYABLE (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of notes payable with classification | Note Amount March 31, 2016: Notes payable – long-term portion $ — Notes payable – current portion 149,200 Total $ 149,200 Note Amount June 30, 2016 (Unaudited): Notes payable – long-term portion $ — Notes payable – current portion 149,200 Total $ 149,200 |
EARNINGS (LOSS) PER SHARE (Tabl
EARNINGS (LOSS) PER SHARE (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Basic and diluted earnings per share | For the three months ended June 30, 2016 (Unaudited) For the three months ended June 30, 2015 (Unaudited) Net income (loss) attributable to Avalon Oil & Gas, Inc. $ (32,223 ) $ 138,952 Preferred stock dividends (56,118 ) (48,250 ) Net income (loss) attributable to common shareholders of Avalon Oil & Gas, Inc. (numerator for basic earnings per share) (88,341 ) 90,702 Dividend for Series A convertible preferred stock 10,000 10,000 Net income (loss) attributable to common shareholders of Avalon Oil & Gas, Inc. (numerator for diluted earnings per share) (88,341 ) 100,702 Weighted average number of common shares outstanding - Basic 18,198,062 16,877,183 Effect of diluted securities: Convertible amount of Common Shares — 11,665,375 Weighted average number of common shares outstanding - Diluted — 28,542,558 Earnings (loss) per share- Basic $ (0.005 ) $ 0.005 Earnings (loss) per share- Diluted $ (0.005 ) $ 0.003 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 2 Months Ended | 3 Months Ended | 276 Months Ended | ||||
Jul. 23, 2012 | Jun. 30, 2016 | Mar. 31, 2016 | Apr. 10, 2013 | Sep. 28, 2012 | Nov. 16, 2011 | Jul. 22, 2005 | |
Accounting Policies [Abstract] | |||||||
Authorized number of shares of common stock | 200,000,000 | 200,000,000 | 200,000,000 | 200,000,000 | 3,000,000,000 | 1,000,000,000 | |
Common stock authorized, par value | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | |||
Reverse split terms | 300 to 1 | ||||||
Loss incurred from inception | $ (33,699,087) | ||||||
Working capital deficiency | $ 754,896 | ||||||
Stockholders' Equity | (687,182) | (598,481) | |||||
Accounts at institutions insured by FDIC | 250,000 | ||||||
Impaired in Proven Oil and Gas Properties | 0 | 128,462 | |||||
Impaired in Unproved Oil and Gas Properties | $ 0 | $ 1,690,183 | |||||
Estimated useful lives; Office Equipment | 5 years |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Total Gross | $ 64,435 | $ 64,435 |
Less: Accumulated depreciation | (51,976) | (50,843) |
Total | 12,459 | 13,592 |
Office Equipment | ||
Total Gross | 41,778 | 41,778 |
Vehicles | ||
Total Gross | $ 22,657 | $ 22,657 |
PROPERTY AND EQUIPMENT (Detai_2
PROPERTY AND EQUIPMENT (Details Narrative) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 1,133 | $ 1,133 |
OIL AND GAS PROPERTY ACTIVITY -
OIL AND GAS PROPERTY ACTIVITY - Producing oil and gas properties (Details) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Ward Petroleum Assets | $ 290,500 | $ 290,500 |
Kensington Energy Assets | 120,000 | 120,000 |
Other Properties | 325,185 | 325,185 |
Total Properties | 1,237,078 | 1,237,078 |
Asset retirement obligation | 34,056 | 34,870 |
Property impairments | (609,534) | (609,534) |
Less: Depletion | (592,628) | (587,508) |
Net | 68,972 | 74,816 |
Lincoln County, Oklahoma | ||
Properties | 111,402 | 111,402 |
Lipscomb County, Texas | ||
Properties | 250,082 | 250,082 |
Miller County, Arkansas | ||
Properties | $ 139,909 | $ 139,909 |
ACCOUNTS PAYABLE AND ACCRUED _3
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES - Accounts payable and accrued liabilities (Details) - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Payables and Accruals [Abstract] | ||
Accounts payable | $ 143,412 | $ 130,747 |
Accrued liabilities | 66,878 | 63,944 |
Total | $ 210,290 | $ 194,691 |
NOTES PAYABLE - SCHEDULE OF NOT
NOTES PAYABLE - SCHEDULE OF NOTES PAYABLE WITH CLASSIFICATION (Details) - Note Amount - USD ($) | Jun. 30, 2016 | Mar. 31, 2016 |
Summary of notes payable | ||
Notes payable - long-term portion | ||
Notes payable - current portion | 149,200 | 149,200 |
Total | $ 149,200 | $ 149,200 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Apr. 21, 2011 | |
Preferred stock, value | $ 10 | $ 10 | |||
Stock dividends incurred | 56,118 | $ 48,250 | |||
Stock dividends paid | 13,500 | ||||
Balance of accrued and unpaid salaries | 205,462 | ||||
Liquidation preference | $ 537,450 | ||||
Liquidation preference, per share | $ 5,374.50 | ||||
Preferred stock, Series A | |||||
Shares of Preferred Stock issued to an officer/director as payment for promissory notes | 100 | ||||
Preferred Stock, par value | $ .10 | ||||
Preferred Stock dividend payment percentage | 40.00% | ||||
Stock dividends incurred | $ 1,000 | 13,500 | |||
Stock dividends paid | 1,000 | 13,500 | |||
Amount charged to operations in annual salary | 12,000 | 12,000 | |||
Amount of compensation paid to Mr. Rodriquez | 6,500 | 21,882 | |||
Liquidation preference | 546,450 | ||||
Preferred Stock Series A | |||||
Shares of Preferred Stock issued to an officer/director as payment for promissory notes | 100 | ||||
Value of promissory notes to an officer/director | $ 500,000 | ||||
Stock dividends incurred | 40,000 | $ 40,000 | |||
Balance of accrued and unpaid salaries | 46,450 | 37,450 | |||
Liquidation preference | $ 546,450 | $ 537,450 | 537,450 | ||
Liquidation preference, per share | $ 5,464.50 | $ 5,374.50 | |||
Kent Rodriguez | |||||
Notes payable | $ 20,000 | $ 20,000 | $ 35,000 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) | 3 Months Ended |
Jun. 30, 2016USD ($) | |
Income Tax Disclosure [Abstract] | |
Federal and State net operating loss carry forwards | $ 33,699,087 |
Valuation allowance reducing the net realizable benefits of deductible differences | $ 0 |
Operating loss expiration period | Dec. 31, 2029 |
STOCKHOLDERS' EQUITY - Preferre
STOCKHOLDERS' EQUITY - Preferred Stock (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Oct. 05, 2015 | |
Preferred stock dividends | $ 56,118 | $ 48,250 | |||
Preferred stock dividends paid | 56,118 | 48,250 | |||
Accrued balance due to Mr.Rodriguez | $ 205,462 | ||||
Liquidation preference | $ 537,450 | ||||
Liquidation preference per share | $ 5,374.50 | ||||
Preferred stock issued to officer/director on conversion of promissory notes | 11,665,375 | ||||
Preferred stock issued | 300,000 | ||||
Accrued dividends | $ 260,606 | $ 205,488 | $ 205,488 | ||
AFS | |||||
Preferred stock, shares authorized | 5,000,000 | ||||
Preferred stock, par value | $ 0.001 | ||||
Preferred Stock Series A | |||||
Preferred stock, shares authorized | 100 | ||||
Preferred stock, shares issued | 100 | ||||
Preferred stock, shares outstanding | 100 | ||||
Preferred stock dividends paid | $ 40,000 | 40,000 | |||
Accrued balance due to Mr.Rodriguez | 46,450 | 37,450 | |||
Liquidation preference | $ 546,450 | $ 537,450 | 537,450 | ||
Liquidation preference per share | $ 5,464.50 | $ 5,374.50 | |||
Preferred stock, Series A | |||||
Preferred stock, shares authorized | 100 | ||||
Preferred stock, par value | $ .10 | ||||
Preferred stock, shares issued | 100 | ||||
Preferred stock, shares outstanding | 100 | ||||
Preferred stock dividends | $ 10,000 | $ 10,000 | $ 40,000 | $ 40,000 | |
Preferred stock dividends paid | 1,000 | 13,500 | |||
Liquidation preference | 546,450 | ||||
Preferred stock issued to officer/director on conversion of promissory notes, Shares | 100 | ||||
Preferred stock issued to officer/director on conversion of promissory notes | $ 500,000 | ||||
Dividend rate on preferred stock | 8.00% | ||||
Preferred stock, Series A | AFS | |||||
Preferred stock, shares authorized | 1,000 | ||||
Preferred stock, shares outstanding | 50 | ||||
Preferred stock dividends | 1,500 | 0 | |||
Liquidation preference | $ 53,000 | $ 54,500 | |||
Liquidation preference per share | $ 1,060 | $ 1,090 | |||
Accrued dividends | $ 3,000 | $ 4,500 | |||
Preferred stock, Series B | |||||
Preferred stock, shares authorized | 2,000 | 2,000 | |||
Preferred stock, par value | $ .10 | $ .10 | |||
Preferred stock, shares issued | 1,983 | 1,983 | |||
Preferred stock, shares outstanding | 1,983 | 1,983 | |||
Preferred stock dividends | $ 44,618 | $ 38,250 | |||
Liquidation preference | $ 2,192,660 | $ 2,148,038 | |||
Liquidation preference per share | $ 1,105.73 | $ 1,083.23 | |||
Preferred stock issued | 125 | ||||
Preferred stock value | $ 125,000 | ||||
Accrued dividends | $ 209,660 | $ 165,038 |
STOCKHOLDERS' EQUITY - Common S
STOCKHOLDERS' EQUITY - Common Stock (Details Narrative) - USD ($) | Jun. 25, 2015 | Apr. 02, 2015 | Jun. 30, 2016 | Jun. 30, 2015 |
Common stock issued for services, value | $ 12,000 | |||
Director | ||||
Common stock issued for services, value | $ 12,000 | |||
Common stock issued for services, shares | 300,000 | |||
Promissory Note [Member] | ||||
Common stock, par value per share | $ 0.04 | |||
Common stock issued for conversion of note payable, value | $ 26,000 | |||
Common stock issued for cash | $ 5,000 | |||
Common stock issued for conversion of note payable, shares | 650,000 | |||
Credited amount on conversion of notes payable | $ 5,000 | |||
Gain (Loss) on conversion of notes payable | 244,972 | |||
Promissory note issued for settlement of account payable | $ 280,972 |
TECHNOLOGY LICENSE AGREEMENT (D
TECHNOLOGY LICENSE AGREEMENT (Details Narrative) | 3 Months Ended |
Jun. 30, 2016shares | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Shares exchanged for exclusive license agreement | 300,000 |
Percentage of net sales as royalty income | 3.00% |
EARNINGS (LOSS) PER SHARE - Bas
EARNINGS (LOSS) PER SHARE - Basic and diluted earnings per share (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share [Abstract] | ||
Net income (loss) attributable to Avalon Oil & Gas, Inc. | $ (32,223) | $ 138,952 |
Preferred stock dividends | (56,118) | (48,250) |
Net income (loss) attributable to common shareholders of Avalon Oil & Gas, Inc. (numerator for basic earnings per share) | (88,341) | 90,702 |
Dividend for Series A convertible preferred stock | 10,000 | 10,000 |
Net income (loss) attributable to common shareholders of Avalon Oil & Gas, Inc. (numerator for diluted earnings per share) | $ (88,341) | $ 100,702 |
Weighted average number of common shares outstanding - Basic | 18,198,062 | 16,877,183 |
Effect of diluted securities: | ||
Convertible amount of Common Shares | $ 11,665,375 | |
Weighted average number of common shares outstanding - Diluted | 18,198,062 | 28,542,558 |
Earnings (loss) per share- Basic | $ (0.005) | $ 0.005 |
Earnings (loss) per share- Diluted | $ (0.005) | $ 0.003 |
EARNINGS (LOSS) PER SHARE (Deta
EARNINGS (LOSS) PER SHARE (Details Narrative) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share [Abstract] | ||
Net loss per share | $ (0.005) | $ 0.005 |
Convertible notes not included in the calculation of the diluted earnings | $ 149,200 | $ 164,300 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) | Jan. 29, 2018USD ($) |
Convertible Promissory Note [Member] | |
Promissory Note | $ 230,000 |